Net income of $1.9 million or $0.07 per share (fully diluted), compared
with net loss of $12.7 million or $0.45 per share (fully diluted) - Q3
2010 net loss includes a goodwill and intangible impairment of $12.8
million; and

Backlog of $49.6 million (quarterly record), up 42% from $34.9 million.

Year to Date 2011 compared with Year to Date 2010

Revenue of $89.3 million, up 3% from $86.5 million;

Net income from continuing operations of $1.6 million or $0.06 per share
(fully diluted), compared with a net loss of $15.6 million or $0.55 per
share (fully diluted) - YTD 2010 net loss includes a goodwill and
intangible impairment of $12.8 million; and

Net income of $1.5 million or $0.05 per share (fully diluted), compared
with net loss of $16.0 million or $0.57 per share (fully diluted).

"This quarter marks the first anniversary in the change of direction for
ZCL. We continue to reinforce our simplify to grow strategy with our people, our customers and the investment community
and we believe it is starting to make a difference," said Rod Graham,
ZCL's President and Chief Executive Officer.

"The third quarter earnings of $0.07 per fully diluted share represent
our second profitable quarter in a row and mark our highest
profitability in the past 11 quarters. The steps we took earlier in
the year have helped enhance our profitability and our current backlog
of just under $50 million provides us with some comfort that we are on
the right path."

"While we operate under one corporate umbrella entity, ZCL Composites
Inc., we continue to market ourselves by leveraging off of the strong
brand identities of ZCL, Xerxes, Parabeam, Dualam and Troy," said Mr.
Graham. "To better support our sales and marketing effort, we are
proud to introduce our updated website www.zcl.com. We believe it clearly defines the present and the future for ZCL
Composites and we encourage you to visit the site."

Financial Results

Revenue for the third quarter of 2011 was $36.4 million, up $4.1 million
or 12% from $32.3 million from the third quarter of 2010. The strong
increase in revenue was attributable to both the Petroleum Products and
Industrial Corrosion Products groups as compared to the third quarter
of 2010.

The Petroleum Products group had revenue of $23.2 million, up 5% from
$22.0 million in the same quarter of 2010. As with the previous two
quarters, the combination of higher retail selling margins for fuel and
more readily available financing, gave independent service station
customers the ability to increase spending on our tanks. Sales to
these US customers were up 15% from the third quarter in 2010.
Distributor sales were also up significantly in the third quarter.
Overall, US Petroleum Products revenue was up $2.1 million or 16% over
the third quarter of 2010.

Revenue from the Industrial Corrosion Products group was $9.0 million,
up 48% from the $6.1 million realized in the same quarter of 2010. The
increase from 2010 predominately reflected a gain of $2.2 million for
the ZCL Dualam operation, compared with the same quarter in 2010. The
backlog in the Industrial Corrosion division is significantly higher at
September 30, 2011 than a year earlier, and although certain of the
projects are longer term in nature, the increased revenue reflects a
strengthening demand for Industrial Corrosion products.

Water Products revenue was $4.1 million, down slightly from the same
period in 2010. Both US and Canadian Water Products revenue was
consistent with the prior year before a $0.2 million negative impact of
foreign exchange. Challenges in the US construction sector have
continued to weigh on the sales momentum for the Water Products group,
however we believe this will again become a growing market for ZCL.

Gross profit totalled $6.1 million in the third quarter of 2011, up 32%
from $4.6 million a year earlier. Gross profit was 17% of revenue in
the third quarter of 2011, up from 14% of revenue a year earlier. Gross
profit remained relatively flat as a percentage of revenue for the
Water and Petroleum Products groups, however the Industrial Corrosion
Products group improved significantly over the same period in 2010.

General and administration expenses were $2.6 million, down 24% from
$3.4 million a year earlier. The reduction primarily related to
numerous non-recurring costs incurred in 2010 relating to integration
activities, ERP implementation and restructuring costs that were not
repeated in 2011. G&A costs were 7% of revenue compared to 10% in the
same quarter of 2010.

Divestiture of Non-Core Assets and Repayment of Debt

ZCL continues to hold certain non-core real estate assets for sale.
Management expect to use any proceeds to further pay down debt. These
non-core assets are located in markets where it will take more time to
realize liquidity.

ZCL has successfully divested of certain non-core real estate assets, as
mentioned in the June 30, 2011 MD&A. These include the sale of assets
from the steel tank division in 2011 and the repatriation in 2011 of
the note and debt received on the sale of the Home Heating Oil Tank
("HHOT") division that occurred in 2010. So far in 2011, long term debt
has been reduced by $4.1 million of which $2.9 million was a result of
divesting of non-core assets.

Backlog and Financial Position

Compared with a year earlier, backlog increased by $14.7 million or 42%,
led by growth of $15.7 million or 172% from the Industrial Corrosion
Products operations. For the Company as a whole, backlog growth was
achieved primarily in the Canadian operations. US backlog is
consistent with the same quarter of 2010.

Working capital was $20.7 million at September 30, 2011, up 11% from
$18.7 million a year earlier. Long term debt excluding preferred
shares totalled $7.0 million at September 30, 2011, down 43% from $12.3
million a year earlier.

Priorities and Outlook

We continue to focus on and execute the key tenets of the 2011 Strategic
Plan, being:

Focus on core competencies;

Improve EBITDA as a percentage of revenue and debt;

Improve balance sheet returns;

Reinstitute a dividend payment as our performance continue to improve;

Improve internal operating and financial reporting with a suite of key
performance indicators ("KPIs") with the implementation of the ERP
system that occurred in 2010;

Reinforce a program of operational excellence and continuous improvement
with a particular focus on cost controls; and

Maintain a strong safety culture.

ZCL is cautiously optimistic that profitability will continue in the
fourth quarter of 2011 and into 2012, with the possible exception of
the first quarter which is traditionally the weakest due to seasonal
factors.

We caution that the extent of our profitability is dependent on the rate
of economic growth in our markets. There appear to be increasing risks
that economic growth may slow down or that another recession may be
developing. A recession could lead to short term unprofitable
operations, but we remain confident that our business will deliver
strong and profitable growth over the longer term.

Summary Financial Results

For the three months ended

2011

2010

2009(note 1)

Sep 30

Jun 30

Mar 31

Dec 31

Sep 30

Jun 30

Mar 31

Dec 31

(in thousands of dollars,

(restated)

(restated)

(restated)

(restated)

except per share amounts)

$

$

$

$

$

$

$

$

Revenue

36,352

29,820

23,158

35,029

32,340

30,521

23,685

28,609

Net income (loss)

Continuing operations

1,892

969

(1,247)

(1,102)

(12,485)

(437)

(2,676)

2,052

Discontinued operations

-

(181)

17

287

(233)

4

(207)

(571)

Total

1,892

788

(1,230)

(815)

(12,718)

(433)

(2,883)

1,481

Basic and diluted earnings
(loss) per share

Continuing operations

0.07

0.03

(0.04)

(0.04)

(0.44)

(0.02)

(0.09)

0.08

Total

0.07

0.03

(0.04)

(0.03)

(0.45)

(0.02)

(0.10)

0.06

MD&A and Financial Statements

The Company's management's discussion and analysis ("MD&A") and
unaudited interim consolidated financial statements for the three and
nine months ended September 30, 2011 are available on Sedar at www.sedar.com and the ZCL website at this link: www.zcl.com/investor-relations.html.

Conference Call

ZCL Composites Inc. has scheduled an investor conference call for 8:00
a.m. Mountain Time (10:00 a.m. Eastern Time) on Wednesday November 9,
2011, to discuss its financial and operating results for the third
quarter of 2011.

To access the conference call by telephone, please call 647-427-7450
from the greater Toronto area, or dial toll free 888-231-8191 from
anywhere in North America. An audio webcast may be accessed through the
investor events tab on the ZCL Composites website. Audio replays will
be available on the ZCL Composites website shortly after the conclusion
of the conference call.

The conference call will include prepared remarks by ZCL's President and
Chief Executive Officer, Rod Graham, by ZCL's Chief Operating Officer,
Ron Bachmeier and by ZCL's Chief Financial Officer, Kathy Demuth. After
the prepared remarks, ZCL will accept questions from analysts and
institutional investors. The public is invited to listen to the
conference call in real time or by replay.

Note on Backlog

Backlog is defined as the total value of orders that management has
assessed as having a high certainty of being performed because of the
existence of a contract or purchase order specifying the scope, value
and timing of an order.

Advisory Regarding Forward-Looking Statements

This document contains forward-looking statements under the heading
"Outlook" and elsewhere concerning future events or the Company's
future performance, including the Company's objectives or expectations
for revenue and earnings growth, income taxes as a percentage of
pre-tax income, business opportunities in the Petroleum Products, Water
Products, Industrial Corrosion Products markets, efforts to reduce
administrative and production costs, manage production levels,
anticipated capital expenditure trends, activity in the petroleum and
other industries and markets served by the Company and the sufficiency
of cash flows and credit facilities available to cover normal operating
and capital expenditures. Forward-looking statements are often, but not
always, identified by the use of words such as "seek", "anticipate",
"plan", "continue", "estimate", "expect", "may", "will", "project",
"predict", "potential", "targeting", "intend", "could", "might",
"should", "believe" and similar expressions.

Actual events or results may differ materially from those reflected in
the Company's forward-looking statements due to a number of known and
unknown risks, uncertainties and other factors affecting the Company's
business and the industries the Company serves generally.

These factors include, but are not limited to, fluctuations in the level
of capital expenditures in the Petroleum Products, Water Products, and
Industrial Corrosion Products markets; drilling activity, oil and
natural gas prices and other factors that affect demand for the
Company's products and services; industry competition; the need to
effectively integrate acquired businesses; uncertainties as to the
Company's ability to implement its business strategy effectively in
Canada and the United States; political and economic conditions; the
Company's ability to attract and retain key personnel; raw material and
labour costs; fluctuations in the US and Canadian dollar exchange
rates; and other risks and uncertainties described under the heading
"Risk Factors" in the Company's most recent Annual Information Form and
elsewhere in this document and other documents filed with Canadian
provincial securities authorities. These documents are available to the
public at www.sedar.com. Unless otherwise indicated, the unaudited consolidated financial
statements have been prepared in accordance with International
Financial Reporting Standards and the reporting currency is in Canadian
dollars.

In addition to the factors noted above, management cautions readers that
the current economic environment could have a negative impact on the
markets in which the Company operates and on the Company's ability to
achieve its financial targets. Factors such as continuing economic
uncertainty in the US and Canada, tighter lending standards, volatile
capital markets, fluctuating commodity prices, and other factors could
negatively impact the demand for the Company's products and the
Company's ability to grow or sustain revenues and earnings.
Fluctuations in the US to Canadian dollar conversion rate also have the
potential to impact the Company's revenues and earnings.

The Company believes that the expectations reflected in the
forward-looking statements are reasonable, but no assurance can be
given that these expectations will prove to be correct and such
forward-looking statements included in this report should not be unduly
relied upon.

The forward-looking statements in this report speak only as of the date
of this report. The Company does not undertake to update any
forward-looking statement, whether written or oral, that may be made
from time to time by the Company or on the Company's behalf, whether as
a result of new information, future events, or otherwise, except as may
be required under applicable securities laws. The forward-looking
statements contained in this document are expressly qualified by this
cautionary statement.